In a conference with analysts in the Brazilian southern state of Rio Grande do Sul, Gustavo Werneck, the executive president of the Gerdau Group, informed that investments worth the equivalent of $1.0 billion for 2025 continue to wait for a positive return of the government in relation to the increasing volume of steel imports, chiefly from China.
Werneck concedes that the authorities are open to discussions on the subject, but so far, a definitive solution has not been achieved.
Despite the system of quotas adopted, where volumes exceeding the quotas are subject to an import fee of 25 percent, Brazil imported 4.8 million mt of steel products in 2024, the equivalent to more than 20 percent of the country’s domestic sales during the period.
He mentioned that “it is absurd to know that there is Chinese steel crossing the Brazilian customs at prices lower than the iron ore they have paid to produce it”.
Considering the current situation, Werneck mentioned that Gerdau will wait until the end of May to make a decision in relation to the investments in Brazil.